I am a CPA in Texas with an MBA from the University of Chicago. I have seen a lot and made many mistakes. Hopefully by now I will have learned something from them. Just as importantly, you may learn something from my mistakes. You can e-mail me by clicking on my "View my complete profile".

Saturday, February 27, 2010

Goldman's Schtarkes-5

"A former Goldman Sachs [GS] computer programmer was indicted on charges he stole computer codes used for proprietary high-frequency trading programs. ... Prosecutors from the [SDNY] US Attorney's office alleged that [Sergey] Aleynikov, on his last day at [GS] transferred substantial portions of [GS's] proprietary computer code for its high-frequency trading platform to an outside computer server in Germany. ... The firm maintained strict confidentiality agreements that required Goldman employees to sign away the rights to 'any invention, discoveries, concepts, ideas or information' developed while on the firm's payroll, according to the indictment", Chad Bray and Jacob Bunge at the WSJ, 12 February 2010, link: http://online.wsj.com/article/SB10001424052748703382904575059660427173510.html.

"A former [GS] computer programmer pleaded not guilty to charges that he stole computer codes used in the firm's high-frequency trading program. ... The case is set for trial beginning Nov. 29. ... At the plea hearing Assistant US Attorney Joseph Facciponti said a preliminary search didn't find any of Goldman's code on Teza's computers", Chad Bray at the WSJ, 18 February 2010 link: http://online.wsj.com/article/SB10001424052748703444804575071453563822806.html.

Why is the SDNY US Attorney's office enforcing a Vampire Squid (VS) contract? Why ask, it's the VS after all. Why is the "non-compete" important to the SDNY US Attorney's office? What element of which count in the indictment does it fulfill?